Nairobi — About 40 percent of Kenyans are borrowing to meet everyday expenses, underscoring mounting financial pressure on households, according to the latest Old Mutual Financial Wellness Monitor.

The survey also shows that 54 percent of respondents are carrying the same or higher debt levels compared to last year, while 46 percent admit to regularly overspending their budgets.

Despite the strain, the report indicates that Kenyans are adapting by creating additional income streams, including expanding businesses and pursuing side hustles.

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Financial satisfaction improved to 5.9 out of 10 in 2025 from 5.2 in 2024, with 70 percent of respondents expecting their financial situation to improve in the next six months. Additionally, 91 percent reported having a savings goal.

"Kenyans are not waiting for the economy to improve. In the face of economic pressure, they are actively engineering their own recovery," said Arthur Oginga.

The study further found that 30 percent of working Kenyans are earning more than a year ago, while 47 percent own or co-own a business.

Experts say key drivers of financial wellbeing include prudent debt management, ability to save, and improved business performance.

"What we are seeing is a shift from passive financial behaviour to active financial intent," said Dr. Tabitha Njuguna.

However, high cost of living, low incomes, and limited access to capital continue to weigh on many households, with experts warning that without stronger financial literacy and savings discipline, the gains may remain short-term.